With a new income tax, Oman seeks to accelerate its post-oil future

This is the cutting edge of taxation in the Gulf. Last June, Oman became the first state in the region to propose an income tax, which is expected to take effect as early as 2028. It is the latest major reform in the sultanate, which, like its neighbors, is trying to diversify its economy beyond hydrocarbons.In 2017, it was estimated that its proven reserves could theoretically be exhausted within about 15 years. This has pushed the country to multiply measures to find other sources of income, as part of its Oman Vision 2040 plan, developed from 2020 and inspired by the Saudi Vision 2030 strategy.The government had already begun some of the most ambitious tax reforms in the Gulf, starting in 2015, after the collapse of oil prices, implementing a series of austerity measures, new taxes, and a reduction of public subsidies. While the...